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Hosting Olympic Games Gives Rio De Janeiro Chance To Rebrand

It may be "one of the most stunning cities to host the Olympic Games, but Rio did not always offer an attractive backdrop for sponsors looking to associate their brand with one of the world’s biggest sporting events," according to Leahy & Ahmed of the FINANCIAL TIMES. Amnesty Int'l "painted Rio's favelas or slums as a killing field for young children." Int'l media coverage "also portrayed a capital in which body parts were washing up on beaches, mosquitoes laden with the Zika virus were swarming" and untreated sewage was flowing into the water venues. Yet the experience of other cities holding the Games teaches Rio’s city government and the main corporate sponsors, which include Coca-Cola, McDonald's, Visa and Samsung, that "the storm is worth weathering, according to marketing experts." History suggests that when the Games start, the "media switches its attention to the sport." The Olympics then "suddenly reveals its enormous marketing power as a platform for a city to rebrand itself and for corporate sponsors to reach a global audience." WPP CEO Martin Sorrell said, "[In London], I remember thinking how the atmosphere instantly changed and I mean instantly, it was like somebody switching on a light." While it is still early, five days into the 17-day contest, there are "signs history is repeating itself." After a "well-executed opening ceremony" the world is focused on the sport and Brazilians are "beginning to take pride in the event." Former IOC Marketing Department Head Michael Payne said that evidence of the Games' attraction for advertisers "was the next Olympics, Tokyo 2020, which has broken all records." Payne: "They [Tokyo] have 30 major partners already on board. The Toyota deal for the IOC’s top program -- the number has not been announced -- but media reports say that [it is] $1.6 billion and I understand it is accurate." Sorrell said that the Olympics were "one of only three global sporting platforms that could be used by countries or cities to reposition their image -- the others being the World Cup or Formula One." He said, "Formula One is probably in the middle between the IOC and FIFA [as a branding opportunity] but FIFA has the most difficult position" (FT, 8/9).

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